Market Update December 31, 2016

(January 07, 2017)

Sunshine Coast Detached ListingsSales up by 27% over the previous year

There are currently 197 detached listings on the Sunshine Coast. This is down from November 30 when there were 242 detached listings. Detached sales year-to-date ending December 31, 2016: 955 sales, in 2015: 753 sales; in 2014: 584 sales, and in 2013: 455 sales. The current market's hot price range is between $351,000 and $450,000 with 238 sales occurring in this price range. With the current sales pace, this represents approximately a two and a half month supply of listings.

Sunshine Coast Attached ListingsSales up by 34% over the previous year

There are currently 51 current attached listings. This is down slightly from November 30, when there were 52 attached listings. Attached sales this year-to-date ending December 31, 2016: 232 sales; in 2015: 173 sales; in 2014: 114 sales and in 2013: 98 sales. With the current sales pace this represents an approximate two-and-a-half-month supply of listings. Attached listings represent strata unit apartments, condos and townhouses. Attached property sales are up over the previous years.

Sunshine Coast Land ListingsSales up by 140% over the previous year

There are currently 191 bare land listings. This is down from November 30 when there were 238 land listings. Land sales year-to-date ending December 31, 2016: 386 sales; in 2015: 161 sales; in 2014: 73 sales, and in 2013: 60 sales. With the current sales pace this represents approximately a six-month supply.

Year-to-Date Detached Sales

$000 to $300,000 with 86 sales

$301,000 to $400,000 with 195 sales

$401,000 to $500,000 with 220 sales

$501,000 to $600,000 with 153 sales

$601,000 to $700,000 with 86 sales

$701,000 to $ 800,000 with 59 sales

$801,000 to $900,000 with 43 sales

$901,000 to $1,000,000 with 32 sales

80 sales over a $1,001,000

What a wild ride 2016 was for the Sunshine Coast Real Estate Market

So we started the year with over 308 detached listings on the Sunshine Coast and ended the year with 197 detached listings. If this number sounds high, compare it with 2013 when we started the year with 522 detached listings on the market. In June, the detached sales were up by 84% over the previous year and we had already sold 625 homes. The market softened in the later part of the year due to the foreign buyer tax, new mortgage rules, pricing increase of between 25 and 30% and a decreasing inventory. We have also noticed during any major election people seem to back off - the US election is major.

The other area of the market to note is the huge number of land sales. In 2015 we sold 161 bare land lots on the Sunshine Coast. In 2016 we sold 386 bare land lots. The implications of selling lots is a huge boom to our local economy. All aspects of jobs are affected from labourers to Doctors. Contractors hire, families move in, which in turn shows an increase in school enrollment and local businesses like restaurants, for example, are busier.

We are now starting the third year of an up cycle with a decreased inventory and a market that is well below other comparable lower mainland communities. I believe we still have a pent up demand for properties on the Sunshine Coast and with that there will be an upward pressure on pricing. I believe that the market will rebound in Vancouver and news will switch from doom and gloom to boom. There was a similar tax brought into Hong Kong and it softened the market for a few months before rebounding. We only need to look toward Toronto and see the price increases there since the tax was brought in to realize that Vancouver is looking like a deal even with the tax.

The Sunshine Coast is still the best neighborhood in the Lower Mainland and the best value at any time of year.

The market in 2017 is going to be very interesting. Call me today with any additional questions, or for a free market evaluation - ﻿604.885.7810﻿ or email:kenan@kenamackenzie.com

This representation is based in whole or in part on data generated by the Chilliwack & District Real Estate Board, Fraser Valley Real Estate Board or Real Estate Board of Greater Vancouver which assumes no responsibility for its accuracy - Listing data updated on August 17, 2017